Retail investors have nothing to complain as the Nifty rose over 30 percent in 3 years of Modi government in office while 10 stocks more than doubled investors’ wealth in the same period.

The much talked about ‘Acche Din’ are already here for investors and if the momentum continues, which is more likely the case, equity markets could well rally another 20 percent from the current level in the next 2 years of Modi government.

The broader index registered over 30 percent growth since May 16, 2014, when Narendra Modi-led NDA emerged victorious in the General Elections of 2014. During the same period, the S&P BSE Sensex rose 25 percent in the same period.

The rally in the Indian market is led by strong domestic and global liquidity. Domestic institutional investors (DII), which include mutual funds, have poured in more than Rs 1 lakh crore in Indian equity markets since May 2014 while foreign institutional investors (FIIs) bought just Rs 30,000 crore worth of equities in the same period, according to data from Moneycontrol.

The recent vertical rise seen in Indian equity market from December lows does raise the concern of high valuations, but analysts’ are not worried. The valuations of most of stocks and indices do look stretch from a historical perspective but as the economy grows, earnings growth will catch up.

The euphoria which everybody keeps talking about is not yet there. Hence, a major crash which everyone is hoping for is not going to come anytime soon. This market will not give you big corrections, but whatever dip you get, utilise it to buy quality stocks.

“Bear ambush will and always come after the market has reached a state of disproportionate euphoria leaving aside whoever is in power. That state of hysteria is still far off, wherein there would be IPO’s every week, inflation would rampant and the economy will be firing all cylinders,” Jimeet Modi, CEO, SAMCO Securities told Moneycontrol.com.

“Currently, we are nowhere near that state of hysteria and therefore the bull music will keep on ringing NaMo NaMo. The indices should rise on an average by 15-17 percent p.a. for next few years taking the market to higher and higher levels,” he said.

In the last three years of the Modi-led NDA government, fundamentals of the Indian economy has improved tremendously which makes India stand out among its peer group.

There are many reforms which the government initiated in order to kick start the economic engine ranging from GST, Direct Benefit Transfers, passing of various bills to inject life in Real Estate and Banking sector, Make in India to promote manufacturing, encouraging start-up culture and curbing the supply of black money etc. among others.

“The market responded with positive sentiment for the current government, which led to multiple record highs on several occasions like a win in UP election for both Nifty & Sensex,” Dinesh Rohira, Founder & CEO, 5nance.com told Moneycontrol.

“With sustainability in government policies embarked on reforms like greenfield projects, retail & infra sector, easing labor laws and addressing the bad loans in the banking sector,” he said.

Rohira is of the view that the Modi Government play an imperative mechanism in a run for a bull rally in a medium-term. This is expected to form a new all-time-highs with an upsurge by 20 per cent for Sensex and 24 per cent for Nifty in next two years.